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Standing Committee on Social and Economic Development Second Session - Thirty-Eighth Legislature of the Legislative Assembly of Manitoba Standing Committee on Social and Economic Development Chairperson Ms. Marilyn Brick Constituency of St. Norbert Vol. LV No. 2 - 10 a.m., Tuesday, May 18, 2004 ISSN 1708-6698 MANITOBA LEGISLATIVE ASSEMBLY Thirty-Eighth Legislature Member Constituency Political Affiliation AGLUGUB, Cris The Maples N.D.P. ALLAN, Nancy, Hon. St. Vital N.D.P. ALTEMEYER, Rob Wolseley N.D.P. ASHTON, Steve, Hon. Thompson N.D.P. BJORNSON, Peter, Hon. Gimli N.D.P. BRICK, Marilyn St. Norbert N.D.P. CALDWELL, Drew Brandon East N.D.P. CHOMIAK, Dave, Hon. Kildonan N.D.P. CUMMINGS, Glen Ste. Rose P.C. DERKACH, Leonard Russell P.C. DEWAR, Gregory Selkirk N.D.P. DOER, Gary, Hon. Concordia N.D.P. DRIEDGER, Myrna Charleswood P.C. DYCK, Peter Pembina P.C. EICHLER, Ralph Lakeside P.C. FAURSCHOU, David Portage la Prairie P.C. GERRARD, Jon, Hon. River Heights Lib. GOERTZEN, Kelvin Steinbach P.C. HAWRANIK, Gerald Lac du Bonnet P.C. HICKES, George, Hon. Point Douglas N.D.P. IRVIN-ROSS, Kerri Fort Garry N.D.P. JENNISSEN, Gerard Flin Flon N.D.P. JHA, Bidhu Radisson N.D.P. KORZENIOWSKI, Bonnie St. James N.D.P. LAMOUREUX, Kevin Inkster Lib. LATHLIN, Oscar, Hon. The Pas N.D.P. LEMIEUX, Ron, Hon. La Verendrye N.D.P. LOEWEN, John Fort Whyte P.C. MACKINTOSH, Gord, Hon. St. Johns N.D.P. MAGUIRE, Larry Arthur-Virden P.C. MALOWAY, Jim Elmwood N.D.P. MARTINDALE, Doug Burrows N.D.P. McGIFFORD, Diane, Hon. Lord Roberts N.D.P. MELNICK, Christine, Hon. Riel N.D.P. MIHYCHUK, MaryAnn Minto N.D.P. MITCHELSON, Bonnie River East P.C. MURRAY, Stuart Kirkfield Park P.C. NEVAKSHONOFF, Tom Interlake N.D.P. OSWALD, Theresa Seine River N.D.P. PENNER, Jack Emerson P.C. REID, Daryl Transcona N.D.P. REIMER, Jack Southdale P.C. ROBINSON, Eric, Hon. Rupertsland N.D.P. ROCAN, Denis Carman P.C. RONDEAU, Jim, Hon. Assiniboia N.D.P. ROWAT, Leanne Minnedosa P.C. SALE, Tim, Hon. Fort Rouge N.D.P. SANTOS, Conrad Wellington N.D.P. SCHELLENBERG, Harry Rossmere N.D.P. SCHULER, Ron Springfield P.C. SELINGER, Greg, Hon. St. Boniface N.D.P. SMITH, Scott, Hon. Brandon West N.D.P. STEFANSON, Heather Tuxedo P.C. STRUTHERS, Stan, Hon. Dauphin-Roblin N.D.P. TAILLIEU, Mavis Morris P.C. TWEED, Mervin Turtle Mountain P.C. WOWCHUK, Rosann, Hon. Swan River N.D.P. 69 LEGISLATIVE ASSEMBLY OF MANITOBA THE STANDING COMMITTEE ON SOCIAL AND ECONOMIC DEVELOPMENT Tuesday, May 18, 2004 TIME – 10 a.m. WRITTEN SUBMISSIONS: LOCATION – Winnipeg, Manitoba Bill 20–The University College of the North Act CHAIRPERSON – Ms. Marilyn Brick (St. Norbert) Assembly of Manitoba Chiefs MATTERS UNDER CONSIDERATION: VICE-CHAIRPERSON – Mr. Bidhu Jha (Radisson) Bill 9–The Manitoba Immigration Council Act ATTENDANCE – 11 – QUORUM – 6 Bill 14–The Gas Tax Accountability Act (Financial Administration Act Amended) Members of the Committee present: Bill 20–The University College of the North Act Hon. Ms. Allan, Hon. Ms. McGifford, Hon. Mr. Selinger Bill 26–The Certified Management Accountants Act Ms. Brick, Messrs. Dewar, Goertzen, Jha, * * * Loewen, Mrs. Rowat, Messrs. Schellenberg, Schuler Madam Chairperson: Will the Committee on Social and Economic Development please come to APPEARING: order. Our first order of business is to fill a vacancy in the position of committee Vice-Chairperson. Are Hon. Jon Gerrard, MLA for River Heights there any nominations for this position? Mr. Kevin Lamoureux, MLA for Inkster Mr. David Faurschou, MLA for Portage la Mr. Harry Schellenberg (Rossmere): I would like Prairie to nominate Mr. Bidhu Jha, the Member for Mr. Leonard Derkach, MLA for Russell Radisson. Madam Chairperson: Mr. Jha has been nominated. WITNESSES: Are there any other nominations? Hearing no other Bill 14–The Gas Tax Accountability Act nominations, Mr. Jha is elected Vice-Chairperson of (Financial Administration Act Amended) this committee. Chris Lorenc, President, Manitoba Heavy This meeting has been called to consider the Construction Association following bills: Bill 9, The Manitoba Immigration Stuart Briese, Association of Manitoba Council Act; Bill 14, The Gas Tax Accountability Municipalities Act; Bill 20, The University College of the North Bob Dolyniuk, Manitoba Trucking Association Act; and Bill 26, The Certified Management Accountants Act. Bill 26–The Certified Management Accountants Act We have a total of five presenters registered to speak this morning, as follows: Len Hampson, Certified General Accountants Association Bill 14: Chris Lorenc, president, Manitoba Carleen Mackay, Society of Management Heavy Construction Association; Stuart Briese, Accountants of Manitoba Association of Manitoba Municipalities; Bob Dolyniuk, Manitoba Trucking Association; Bill 26: Bill 20–The University College of the North Act Len Hampson, Certified General Accountants Michael Anderson, Manitoba Keewatinowi Association; and Carleen Mackay, Society of Okimakanak Management Accountants of Manitoba. 70 LEGISLATIVE ASSEMBLY OF MANITOBA May 18, 2004 If there is anyone else in the audience who Committee on Social and Economic Development would like to make a presentation this morning, will now hear from Chris Lorenc, president of the please register with staff at the entrance of the room. Manitoba Heavy Construction Association. For the information of all presenters, 20 copies of any written versions of presentations are required. Mr. Chris Lorenc (President, Manitoba Heavy If you need help with photocopying, please speak Construction Association): Good morning, Madam with our staff. Chairperson, Madam Ministers, Mr. Minister, As well, I would like to inform presenters that in members of the committee. Thank you very much for accordance with our rules, a time limit of 10 minutes the accommodation. I am grateful to you for that. has been allotted for presentations with another 5 minutes allowed for questions from committee I am very pleased this morning to present members. remarks addressing The Gas Tax Accountability Act Also, in accordance with our rules, if a presenter on behalf of the Manitoba Heavy Construction is not in attendance when their name is called, they Association, the MHCA. Our association represents will be dropped to the bottom of the list. If the the heavy civil construction industry in Manitoba, presenter is not in attendance when their name is and, during peak construction periods, we employ called a second time, they will be removed from the directly and indirectly roughly 10 000 Manitobans. presenters' list. On the topic of determining the order of public Very significantly, on November 20, the Throne presentations, I will note that we do have one out-of- Speech made this statement, and I quote: "A law will town presenter in attendance marked with an asterisk be passed requiring that all provincial revenues on the list. raised through gas and diesel taxes are spent on highways, roads and infrastructure. The new law will I would also like to mention that we have a ensure that your Government is accountable, on an special request made by one of the presenters, Mr. annual basis, for the revenues raised and invested. It Chris Lorenc of the Manitoba Heavy Construction will also guarantee that any new share in federal gas Association who is first on the list for Bill 14. Mr. taxes will be invested in municipal infrastructure." Lorenc is scheduled to participate at this hour in a Labour Board hearing and he has asked if he could * (10:10) make the first presentation this morning. What is the will of the committee regarding presentations? The principles indicated in the Throne Speech Mr. Gregory Dewar (Selkirk): I suggest that we and addressed in Bill 14 have been the subject matter deal with the bills that have presenters, we will deal of much work by our association and many other with those bills first, and that Mr. Lorenc be the first stakeholders for many years. The general principles presenter. of dedicating fuel taxes back to highways and road infrastructure appear to have found support with all Mr. Chairperson: Is that agreed by the committee? three provincial political parties, for which we and [Agreed] the vast majority of Manitobans are grateful. Are there any suggestions from the committee as to how long we should sit this morning? Madam Chairperson, the provincial government tabled The Gas Tax Accountability Act on or about Mr. Dewar: Until the work of the committee is March 1 and the new legislation seeks, as we under- done. stand it, to accomplish the following: Madam Chairperson: Is that agreed by the committee? [Agreed] To dedicate provincial road use and gasoline taxes to Manitoba roads, highways and transportation Bill 14–The Gas Tax Accountability Act systems. (Financial Administration Act Amended) To provide that any new share of federal fuel Madam Chairperson: I will now call on Bill 14, taxes will be applied to municipal roads, highways The Gas Tax Accountability Act. The Standing and infrastructure. May 18, 2004 LEGISLATIVE ASSEMBLY OF MANITOBA 71 It requires the government, if there is a surplus municipal infrastructure unless the Government of in fuel tax revenues determined on a cumulative Canada requires otherwise." basis, to submit estimates of expenditures in which the surplus is carried forward as additional expen- We would ask for these two clarifications: ditures of that type within the next four fiscal years. Federal fuel taxes should be able to be applied to It requires the Minister of Finance to release a fund a national highways program or provincial report to the Legislative Assembly within six months highways if the funds are allocated for these pur- of the fiscal year end, which details the annual poses. Now, as an aside, the existing text would spending of fuel taxes. appear to provide for this but out of an abundance of caution and clarification, we would ask that that be This is the first legislation of its kind in Canada.
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